On the other hand, Advanced Micro Devices, Inc. (NASDAQ: AMD) is likely to show "strong" sequential growth in its data center business, the analyst said.

Growth is likely to come from its new Rome EPYC family, which will continue eating away data center processor share from rivals, he said.

PC Trends

Intel's PC processor growth in each of the past four quarters outperformed the industry average at a time when the chip industry is showing year-over-year declines, Wong said.

AMD has been gaining share in the space, and its new 7nm Ryzen desktop processors could help drive desktop processor growth, the analyst said.

New Growth Segments

Nvidia's July earnings report showed that is automotive revenue grew, but it was helped by recognition of revenues from a non-recurring engineering transaction that may have accounted for most of the sales increase, Wong said.

Current expectations call for Nvidia's automotive revenue to fall in the third quarter and establish a new normalized continuing run rate, he said.

Price Action

AMD shares were down 2.21% at $30.78 near the end of Tuesday's session; Nvidia shares were down 1.26% at $168.63; and Intel shares were down 1.04% at $46.74.